EarningsBeats.com Digest

Published: Fri, 01/24/20

EarningsBeats.com Digest for January 24, 2020

Dear EarningsBeats Digest Member,

Q4 Earnings Season Webinar

Next Monday, January 27, EarningsBeats.com Chief Market Strategist Tom Bowley will be conducting our "Q4 Earnings Season" webinar for EarningsBeats.com members. This is a highly attended event just as earnings season gets ready to kick into high gear. For those of you who are NOT currently EarningsBeats.com members and want to learn how you can attend this event for NO COST, click below:

Learn More

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This Pharma May Have Bad Medicine Come Earnings Time

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All rallies are not created equal. Let's take Pfizer (PFE) as an example. If we simply look at the beautiful rally the stock has had since August 2019, and had no other technical evidence to review, we might be convinced that PFE was going to report blowout results on Tuesday. While PFE may be seeing lots of love from the investment community, the truth is that other pharmas are seeing even more love. Check this out:

Take a look at two things. First, PFE is up against a wall of gap resistance right now. This the level where more than 300 million shares were sold over a two week period during the summer. That was mass distribution that took place right there. Next, check out how well investors like PFE vs its pharma peers ($DJUSPR) and the S&P 500 ($SPX). PFE is trading near 52 week lows vs. both. I'm not saying that PFE can't post solid earnings that beat estimates next week. I'm simply saying that based on how Wall Street is viewing the company, I wouldn't want to take that risk.

Happy trading!

Tom Bowley

Chief Market Strategist

EarningsBeats.com
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